What to do?

[DayMDev]

What is the name of your state? PA

I am considering filling bankcruptcy. I currently lost my job and have about $20,000.00 in Credit Card debt. I live with my Fiance and he has been making the mininum payments for me, but it is becomming a financial burden for him to do so.

In order to file do you need to be deliquent on the credits cards? If so, how delinquent do they need to be before considering filling? And does my situation warrent me to file?

Any and all advise is welcomed.

Dana

 

[bigun]

No, you don't need to be in default to file. You do need to quit using the cards. Any charge made 60 days prior to filing may be disallowed.
A lot depends on how soon you can start working again and what your salary will be. If you expect the job situation to improve shortly, I'd try and hang on.

 

[DayMDev]

Well, I'm not sure how the the job hunt is going to go? If I do find a job, my income is only going to be between 25,000.00 to 30,000.00. Should I still consider filling?

I have a car that was bought with cash and it is in both my name and my Fiance's. Can they take the car?

I also have a line of credit with a bank. The balance is around $200.00. Can I pay this off before I file, does this effect anything? I know that If its not paid I will have to list this as a debt to be dismissed. I would rather this not get filled with bankruptcy.

Is there a chance of filling bankruptcy and the court dening the case? IF so, why and what could cause this?

Any and all advise is appreciated!

Dana

 

[bigun]

Well, if your income is zero and will be that way for awhile you likely should file bk. The only way it would be dismissed is if you did something that gave rise to substantial abuse like running up the cards in a short period of time and then filing,etc. Yes, you could pay $200 and not have that considered a preferential payment.
Most bk lawyers give free inital consultations. Talk with a couple and see what they say.
Personally, if your BF is footing most of the bills now, I'd get a PT job if nothing else just to stay current. Bk does not carry the stigma or baggage it once did but, if you've a choice between life with a bk or life without one, choose without.